Guner, Nezih; Lopez-Daneri, Martin; Ventura, Gustavo - C.E.P.R. Discussion Papers - 2014
We evaluate the effectiveness of a more progressive tax scheme in raising government revenues. We develop a life … in revenues which are maximized at an effective marginal tax rate of about 36.9% for the richest 5% of households -- in … than it is in the benchmark economy, while revenues from all sources increase only by about 1.6%. The room for higher …